Company formation and accounting in Latvia
Last updated: 2015-11-24
Application for recording of capital company in commercial register

In Latvia capital companies (companies with equity/share capital) are a company with limited liability and a joint stock company.

If you decided to for a company, then you must register it in the commercial register (managed by the Register of enterprises of the Republic of Latvia).
To register you must submit application and necessary documents to the Register of enterprises.

Your signature one the application must be certified at the sworn notary. So the date on the application must be the date, when you certified your signature (signed the application).

Mark what type (kind) of company you want to register: a limited liability company or a joint stock company. A limited liability company is the most common business form in Latvia. If you do not have special plans regarding you business (for example, you may want to engage in insurance business), you should register a limited liability company. Because the registration process is simpler and the state duty and a payment for publication is less than for a joint stock company.

Company name must be identical on all documents. For example, if you write on the application Company name SIA, then on other documents must be exactly the same and not, for example, SIA Company name or Company name Sabiedrība ar ierobežotu atbildību.

A company must have a legal address in Latvia. If a shareholder or director is not an owner of immovable property (where will be a legal address), then the company must have written permission from the owner of the immovable property.

If you want the company may issue a procuration (special authorization that is recorded in the commercial register, so that anyone can be sure that a certain person has rights to represent the company). If the company issues a procuration, then must add additional application where need to write data about natural (private) person that will have the procuration and scope of rights.

If you do not have special plans then mark "open-ended" at Duration (running time of the company).

You can form a limited liability company with equity capital less than 2800 euro and also you can form a company with equity capital 2800 euro and more. For limited liability company whole equity capital must be subscribed. For LLC with equity capital less than 2800 euro, whole equity capital must paid before you submit the application to the commercial register. For LLC with equity capital 2800 and more, at least 50% must be paid.

You may choose to have status of a micro company tax payer (must pay tax, based on turnover and not on profit). Latter the status of a micro company tax payer you can change once a year.

On the application must write information about all members of board of directors and their scope of rights to represent the company. All members of directors either must sign the application before a sworn notary or must sign special consent to hold the position.

To the application must add certain documents. In most cases the necessary documents are:
  • a decision or agreement about company formation (memorandum of association),
  • articles of assiociation,
  • a statement about legal address,
  • a compartment of the register of shareholders,
  • a consent of immovable property owner,
  • documents about payment of the state duty and a payment for publication in the official newspaper.

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